Summary of “Built for Growth” by Chris Kuenne and John Danner (2017)

Summary of

Entrepreneurship and StartupsTech Startups

Built for Growth: How Builder Personality Shapes Your Business, Your Team, and Your Ability to Win
by Chris Kuenne and John Danner (2017)

Introduction

“Built for Growth” delves into the critical role that a founder’s personality plays in shaping the growth and success of a tech startup. Chris Kuenne and John Danner argue that the traditional focus on business strategies and market dynamics often overlooks the fundamental influence of the entrepreneur’s personality. The authors categorize founders into four distinct types or “Builder Personalities” – Drivers, Explorers, Crusaders, and Captains. Each type has unique strengths and challenges that affect the way they build and grow enterprises.

Four Builder Personalities

  1. Drivers
  2. Explorers
  3. Crusaders
  4. Captains

Details of Each Builder Personality:

1. Drivers

Characteristics:
– Highly competitive and goal-oriented.
– Thrive on achieving outcomes and measuring success through milestones.
– Prefer a top-down management style and often set high expectations for their teams.

Example:
– Larry Page, co-founder of Google, is highlighted as the quintessential Driver. Page’s relentless pursuit of innovation and excellence propelled Google to continually push boundaries, from developing the world’s most popular search engine to leading advancements in artificial intelligence and other technologies.

Actions:
Set Clear Milestones: Break down the company’s vision into specific, measurable milestones. This will help in tracking progress and maintain focus.
Establish a Competitive Culture: Encourage healthy competition among team members to drive exceptional performance.

2. Explorers

Characteristics:
– Focused on discovery and innovation.
– Enthusiastic about new ideas and ventures, often pursuing multiple opportunities concurrently.
– Highly adaptable, open to changes, and willing to pivot strategies as necessary.

Example:
– Elon Musk, the serial entrepreneur behind ventures like Tesla, SpaceX, Neuralink, and The Boring Company, exemplifies the Explorer. His willingness to dive into a variety of ambitious projects and his ability to remain open to evolving ideas are key components of his success.

Actions:
Foster an Innovation Culture: Encourage team members to generate and explore new ideas continuously. Implement brainstorming sessions and innovation sprints to cultivate creativity.
Embrace Flexibility: Be prepared to pivot or alter business strategies in response to new information or changes in the market environment.

3. Crusaders

Characteristics:
– Passionate and mission-driven.
– Motivated by a strong sense of purpose and the desire to create social impact.
– Often attract loyal followers and build communities around their cause.

Example:
– Blake Mycoskie, founder of TOMS Shoes, is noted as a Crusader. His mission to improve lives through for-profit business practices, particularly with TOMS’ “One for One” model where every product sold leads to a product donation for a person in need, epitomizes the Crusader archetype.

Actions:
Define Your Mission Clearly: Articulate a compelling purpose that goes beyond profit, one that resonates deeply with employees, customers, and stakeholders.
Build a Community: Engage with a wider audience by telling compelling stories and creating events that unite people around the mission.

4. Captains

Characteristics:
– Team-oriented and collaborative.
– Highly invested in building strong relationships and nurturing talent within the team.
– Value consensus and strive for team alignment.

Example:
– Tony Hsieh, the late CEO of Zappos, is presented as an exemplary Captain. His emphasis on company culture, employee happiness, and customer satisfaction created a dynamic and devoted workforce, as well as a loyal customer base.

Actions:
Cultivate a Positive Culture: Develop and maintain a strong, collaborative company culture that emphasizes respect, teamwork, and mutual support.
Invest in People Development: Focus on continuous development and training of your employees to enhance skills and foster loyalty.

Strategic Implications and Advice

Leveraging Strengths and Mitigating Weaknesses

Actions:
Self-Assessment: Founders should conduct a self-assessment to understand their Builder Personality type. This can guide personal development and inform leadership strategies.
Create Complementary Teams: Assemble a leadership team that compensates for the founder’s weaknesses. For instance, a Driver might benefit from collaborating with a Captain to enhance team cohesion.

Adapting to Growth Stages of the Company

Example:
– AMAZON’s Jeff Bezos is a blend of the Driver and Explorer types. His adaptability has been crucial in steering Amazon through various growth phases, from an online bookstore startup to a global e-commerce and cloud computing giant.

Actions:
Adjust Leadership Style: As the company grows, founders should adapt their leadership style to suit different phases of development. For example, the demands of a startup’s early stages might differ significantly from the complexities of scaling up operations.

Case Studies and Insights from the Field

Varied Examples

Example:
Sara Blakely, Spanx (Crusader/Explorer): Blakely’s journey illustrates qualities of both the Crusader and Explorer. Her mission to empower women through innovative products and her agile, experimental approach to business strategy demonstrate how blending personality traits can drive success.

Case Study Observations:
Case Study: Airbnb (Explorers): Founders Brian Chesky, Joe Gebbia, and Nathan Blecharczyk demonstrated Explorer traits by spotting a novel market opportunity, iterating on their initial model, and expanding their vision to create a global travel and hospitality platform.

Actions:
Entrepreneurial Vision and Flexibility: Cultivate a balance between a clear vision and the flexibility to explore new ideas, pivot strategies, and capitalize on emerging opportunities. Encourage risk-taking within calculated bounds to innovate and adapt to changing market conditions.

Practical Tools and Frameworks

Builder Personality Framework

Application:
Builder Personality Assessment: Use the provided assessment tools in the book to determine founding team members’ personality types and strategically align their roles and responsibilities.

Example:
Intuit: Founders Scott Cook and Tom Proulx blended Driver and Explorer traits. Their combined focus on user-centric innovation and aggressive market tactics played a significant role in Intuit’s growth and dominance in the financial software market.

Actions:
Role Alignment: Assign roles and responsibilities within the management team based on individual personality strengths. For example, Drivers might handle strategic execution, while Explorers could lead innovation efforts.

Conclusion

“Built for Growth” highlights how understanding and leveraging Builder Personalities can significantly impact the trajectory and success of tech startups. Through real-world examples and actionable strategies, Kuenne and Danner provide a detailed roadmap for entrepreneurs to harness their inherent traits, build complementary teams, and navigate the complex dynamics of starting and growing a business.

Overall Actions:
Conduct Regular Personality Evaluations: Periodically reassess the team to ensure roles remain aligned with the evolving needs of the company and the growth of individuals.
Create a Balanced Leadership Team: Encourage diversity in leadership personalities to foster a holistic approach to problem-solving and strategic decision-making. Balance Drivers’ assertiveness, Explorers’ creativity, Crusaders’ mission-driven passion, and Captains’ team-oriented focus for a resilient and adaptive organization.

By recognizing and acting upon the insights derived from their Builder Personality framework, founders can optimize their leadership approaches, align organizational strategies, and ultimately drive sustainable growth in their tech startups.

Entrepreneurship and StartupsTech Startups